Question
Taylor's is a popular restaurant that offers customers a large dining room and comfortable bar area. Taylor Henry, the owner and mansger of the restaurant,
Taylor's is a popular restaurant that offers customers a large dining room and comfortable bar area. Taylor Henry, the
owner and mansger of the restaurant, has seen the number of patrons increase steadly over the last two years and is
considering whether and when she will have to expand its available capacity. The restaurant occupies a large home, and
all the spoce in the building is now used for dining, the bar, and kitchen, but space is awallable on the property to expand
the restaurant. The restaurant is open from pm to pm each night exsept Monday and, on average, has
customers enter the bar and enter the dining room at the beginning of each of those hours. Taylar has naticed the
trends over the last years and expects that within about years, the number of bar customers will increase by and
the dining customers will increase by Taylor is worried that the restaurant will be abie to handie the increase
and has asked you to study its capacity. In your study, you consider four areas of capacity: the parking lat which has
spaces the bar seats the dining room seats and the kitchen. The kitchen is welstaffed and can prepare any
meal on the menu in an
preparation at a time, or meals per hour minute minute meals To assess the capacity of the restaurant,
you obtain the additional information:
Diners typically come to the restaurant by car, with an awerage of persons per car, while bar patrons arrive with an
average of persons per car.
Diners, on average, occupy a table for an hour, while bar customers usually stay for an average of hours.
Due to fire requlations, all bar customers must be seated
The bar customer typically orders one drink per hour at an average of $ per drink the dining roam customer orders a
meal with an average price of $ t the restaurant's cost per drink is $ and the direct costs for meal preparation are $
Required:
A Given the current number of customers per hour, what is the amount of excess capacity in the bes, dining room, parking lot, and
etchen?
b Calculate the expected total throughput margin for the restaurant per day, and month assuming a day month
a Given the expected increase in the number of customers, determine if there is a constraint for any of the four areas of capacity
What is the amount of needed capacity for each constraint?
b If there is a constraint, reduce the demand on the constraint so that the restaurant is at full capacty lassume some customers
would have to be tumed away. Calculate the expected total throughput margin for the restaurant per day, and month assuming a
day monthy
Step by Step Solution
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